L-G sends back circle rate proposal

The state Cabinet headed by Chief Minister Sheila Dikshit instead stuck to its earlier decision of doubling the existing circle rates across the eight categories of colonies in which the city is divided,officials said.

“We don’t expect any more debates on the issue now. Our decision will be enforced soon,” said a minister,adding that the file has been sent back to Raj Nivas for a final approval. Properties are sold at varying rates,even within a colony,so the government uses the circle rate as a uniform measure to calculate its value on which stamp duty and registration fee are charged. After the hike last month,the new circle rates were to range from Rs 13,800 per square metre to Rs 86,000 per square metre.

But Khanna,who was to enforce the Cabinet’s decision by notifying it in the official gazette,returned the proposal on Tuesday,an official said.

“He suggested circle rates for top-end categories,Category A and Category B,be increased thrice instead of twice as decided by the government,” the official said. In that case rates would have increased in these two categories from Rs 86,000 and Rs 68,200 per square metre to Rs 1.25 lakh and Rs 1 lakh respectively.

He also suggested that the hike in the bottom four categories,where the circle rate was doubled,be reduced by more than half. In that case circle rates in these colonies,that were to range between Rs 36,800 and Rs 13,800 per square metre,would have reduced to between Rs 27,500 and Rs 9,000 per square metre.

“Most of these hikes were similar to the Revenue Department’s original proposal the Cabinet rejected in favour of doubling the rates across the board,” said an official who didn’t want to be named.

The Cabinet that met Thursday also debated on whether or not rules allow Khanna to return a decision of this nature with suggestions,a minister said. “The issue comes under the category of transferred subject on which the Cabinet is well within its right to take a call. In any case,we just reiterated our decision since we had already discussed the issue several times over before approving it,” the minister said.